Oddbean new post about login | logout Stocks are a mechanism for estimating future value, not present value. Electric vehicles have more upside potential as a technology, and an automaker focused on this category has a higher chance of benefiting from it. At least that is the thinking of most investors, I think.
5x the cars and Tesla price starts quite high though. But yes I agree. It seems like the stock market is skewed towards green projects
Yes it’s the predominant narrative. Governments all over the world are pushing this nonsense for various and opaque reasons. „Investors“ are opportunists all the way down to zero. Funny decade ahead.
As far as I remember the last I looked at it, Toyota has a lot of debt, and very low margins. They make dozens of different models. Whereas Tesla has a cash pile, makes only 5 models, which are platforms for its software sales which have high margin.